Major HCMC bus station operator pays large dividends

By Tat Dat March 3, 2024 | 05:00 am PT

The Western Bus Station, operated by Western Coach Station, in Ho Chi Minh City. Photo courtesy of the company

Ho Chi Minh City-based Western Coach Station will pay shareholders VND16,000 (US$0.65) per share as dividend after a year of strong profits.

The company, which operates the Western Bus Station, one of the largest in HCMC where buses carries passengers to and from Mekong Delta provinces, will pay VND40 billion (US$1.6 million) in total to shareholders.

The three biggest shareholders of the company are truck and bus producer Samco, which holds a 51% stake, America Llc, 23.8%, and Thai Binh Investment, 10.02%.

The dividend payment is equivalent to 160% of WCS' shares face value, which is at VND10,000, a jump from the original plan of 20% minimum.

This is because last year it posted a revenue surge of 49% to VND140 billion, the highest since the company started disclosing financial data publicly in 2008.

Its post-tax profit jumped nearly 75% to VND66.5 billion, the highest in four years.

WCS, however, has paid dividends higher in the past. It paid shareholders a rate of VND51,600 per share in 2019, or 516% of face value. The rate was VND40,000 per share, or 400%, in 2018.

WCS shares are among the highest in the stock market at VND202,100, a nearly three-year peak.